CITIC Securities: The bottom of the food and beverage sector should not be pessimistic. Three main lines should be focused on.

CITIC Securities released a research report stating that the current sector valuation has fallen sufficiently, and the market implies a rather pessimistic expectation. Compared with other industries, the dividend yield of leading companies is attractive. At the same time, the price index has stabilized and rebounded, with continuous clearance of companies, improvement in historical burdens, and healthier operating conditions. The bottom should not be pessimistic. Looking ahead to the second half of the year, it is recommended to focus on three main themes: 1) Theme one: Volume and price recovery under improved CPI expectations; 2) Theme two: Growth categories returning to reasonable valuation levels; 3) Theme three: Dividends providing support, with demand recovery on the left side layout.